Is Recession in the Air
Well, the data is pouring in, and the numbers are not looking good. Yes, the numbers. The stuff which speaks to how the economic policies have been working: or not. So the numbers aren't looking particularly good for Canada right now, which has posted its second quarter of negative growth or otherwise known as economic contraction.
What seems to be holding Canada's economy together is consumer spending. And from Legalhotwater's standpoint, an economy reliant on consumer spending to shore up economic data is in a recession. The reality of consumer spending, in relation to recession trends almost always correlates to consumer debts including: credit card spending, personal loans, and second mortgages. When these three (3) economic indicators increase while the economy as a whole is posting negative growth or contraction, it is simply a matter of when not if the other shoe will drop.
Listening Skills
While any economy can and will inevitably encounter recessive trends at some point in time, the situation in Canada is at least due in part to unsound economic policy. Take for example, the prioritization of social policy approaching if not entering socialism, coupled with crippling wage increases for small businesses, employee policy that prioritizes job ownership over job performance, preferred race-based hiring policies, and the lynch pin of declining gross receipts where it counts most e.g. business-commercial sales. One should certainly expect recession trends given these economic dynamics. After all, from where does the lion's share of taxable revenue come? Business-commercial sales.
The idea in a best-case scenario is to land somewhere in the middle regarding a balance between a thriving economy and social policies that advance quality of life. In this case, it would seem that Canada has wondered very far past center to the far left which would explain the economic conditions mentioned. Furthermore, it is not like Canada has not been warned by business leaders, for some time, about these economic conditions; yet such economic conditions stubbornly persist. In all due fairness, the new administration under Prime Minister Carney has had its hands full since walking into the door with the quasi-socialism created by the outgoing administration Trudeau administration. The question that matters, now, is does the Carney administration possess the listening skills to get the Canada economy back on track such as to preclude any permanent or lasting economic damage? The jury is still out on that question. Canada will be forced to face the reality of prioritizing social (and race, gender, sexual orientation) policy at the expense of economic growth. That is a hard pill to swallow. Bottom line: Recession is certain where there is an absence of targeted long-term business investments, sound business leadership versus “I think I can,” and social policy that actually hampers business development and growth.